Albuquerque Car Insurance

Experts break down auto insurance costs, coverages, companies, and more.

Written by Meg Stefanac
Written by Meg Stefanac

Financial blogger and business owner, Meg Stefanac, has more than 15 years experience working in the financial services industry and enjoys helping individuals make solid financial decisions. Meg has extensive experience writing about insurance and finances and is a key contributor to

Happy woman driving SUV during summer trip. Find Albuquerque, New Mexico car insurance.

Any driver can be involved in a car accident. That is why vehicle owners in Albuquerque, NM are required to carry car insurance. From fender-benders on Broadway Boulevard to multi-car collisions on I-25, a reliable car insurance policy can prevent an accident from costing you a lot of money.

Finding the best and most affordable auto insurance is easy when you work with a local independent agent. These agents can help you obtain and compare customized quotes from some of the best car insurance companies in New Mexico. Contact an insurance agent near you to get started.

How Much Does Car Insurance Cost in Albuquerque, NM?

The average cost of car insurance in New Mexico is lower than the national average. This is great news for Albuquerque residents who are looking for an affordable policy.

  • National average annual car insurance cost: $1,311
  • New Mexico average annual car insurance cost: $1,237

Costs are calculated on a case-by-case basis, so this average rate can only give you a general idea of what you might actually be expected to pay. Factors that can influence your premiums include:

  • Details about your vehicle, including its make, model, and year
  • Your age, occupation, and driving history
  • Information about the other licensed drivers in your household
  • Whether you are a homeowner or a renter
  • The amount of liability coverage you are purchasing
  • The types of coverage options you want to include in your policy
  • The amount of your deductible

You can frequently get rate reductions if you bundle your car insurance with other policies like home insurance or renters insurance. Comparison shopping enables you to get the coverage you want at the lowest available price.

What Are the Minimum Car Insurance Requirements in Albuquerque, New Mexico?

All car insurance policies in New Mexico must include liability insurance. This is designed to cover your financial obligations to other people if you cause them property damage or injuries while operating your vehicle.

Your policy must include a minimum of 25/50/10 liability coverage. This means that it must provide at least:

  • $25,000 in bodily injury liability per person
  • $50,000 in bodily injury liability per accident
  • $10,000 in property damage liability per accident

Although these minimum coverage limits may seem rather high, they might not be high enough to fully cover your financial obligations if you cause a serious collision. If that happens, you will need to make up the difference out of pocket.

That is why many Albuquerque drivers choose to purchase car insurance with higher liability limits than the state requires. If you want even more liability coverage than your insurance policy can provide, umbrella insurance is an affordable way to significantly boost all your personal liability coverage limits.

What Else Can Albuquerque Car Insurance Cover?

In addition to the mandatory liability coverage, you will have several coverage options available to you. These can include:

  • Collision coverage: This covers the cost to repair or replace your vehicle if it is damaged or totaled in a collision, regardless of fault. This is typically required by dealerships or lenders if you are leasing or financing your car.
  • Comprehensive coverage: This covers the cost to repair or replace your vehicle if it is damaged or totaled in a non-collision event such as a windstorm or flood. This is typically required by dealerships or lenders if you are leasing or financing your car.
  • Uninsured/underinsured motorist coverage: This can compensate you for your incurred injuries and property damage if an uninsured or underinsured driver is at fault for a collision with your vehicle.
  • Medical payments coverage: Often referred to as MedPay, this can cover the cost of medical treatment for you and your passengers if you are injured in a collision, regardless of fault.
  • Roadside assistance coverage: This covers the cost of needed assistance and/or tow truck services if your car becomes disabled while you are away from home, such as if your engine overheats or you get a flat tire.
  • Gap insurance: This can pay off your car loan if your vehicle is totaled in a covered event. It can be beneficial during the first few years of new car ownership, since this is the time that vehicles depreciate fastest.
  • Rental car reimbursement: This can cover the cost of renting a vehicle while yours is being repaired following a covered event.

Reviewing the details and costs of each available coverage option lets you best determine which are a good fit for you and your family.


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What Is the Penalty for Driving without Insurance in New Mexico?

If you are caught driving without insurance in New Mexico, you can face:

  • A misdemeanor conviction on your record.
  • A fine of up to $300 or incarceration for up to 90 days, or both
  • The suspension of your vehicle registration and plates
  • The need to pay $55 in reinstatement fees to get your registration and plates back
  • Higher car insurance rates

Despite these consequences, more than one in five drivers in this state are operating uninsured vehicles. This is significantly higher than the national rate.

  • Percentage of US drivers who are uninsured: 13.0%
  • Percentage of New Mexico drivers who are uninsured: 20.8%

If you are in a collision caused by an uninsured driver, that person is responsible for compensating you for your property damage as well as any medical treatment you may need for your injuries. However, collecting this money can be difficult, time-consuming, and sometimes impossible.

Uninsured motorist insurance offers a solution to this problem. It can ensure that you receive the compensation you deserve quickly and without the need to take legal action against the at-fault driver.

Does Albuquerque Car Insurance Cover against Auto Theft?

The auto theft rate in the state of New Mexico is significantly higher than the national rate. And in Albuquerque the risk is even higher. Residents of this city report around 3,000 stolen vehicles a year.

  • National auto theft rate per 1,000 people: 2.29
  • New Mexico auto theft rate per 1,000 people: 4.86
  • Albuquerque auto theft rate per 1,000 people: 5.43

You can only receive compensation for a stolen vehicle if your car insurance policy includes comprehensive (or “other than collision”) coverage. It is particularly important to be aware of this fact when you live in a city with such a high auto theft rate.

If you are financing or leasing your vehicle, chances are good you have this coverage already. If not, you may want look into how much it will cost for you to add it to your New Mexico car insurance policy.

How Can Independent Agents Help You Find the Best Car Insurance in Albuquerque?

When you are looking for the auto insurance policy that best meets your coverage and budgetary needs, a local independent agent can help. These agents work for you, not for an insurance company, so they are free to shop around to find the coverage you want at a price you can afford.

Requesting information and advice from an independent agent is free. Contact an insurance agent near you to get answers to your insurance-related questions and to start comparing customized car insurance quotes.

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